Deeds over dollars: the corporate roller coaster has left many professionals in its wake. One route out of the chaos: the nonprofit sector.

The corporate career roller-coaster has left many professionals in its wake. One route out of the chaos: the nonprofit sector.

Henry Fernandez is like a doting father who's short on time. First, he looks in on some girls reading in one of the donated classrooms of a New London, Conn., school. Next, he's across the hall listening to a group of boys play word games. As he heads out the door, pager and cellular phone in tow, he's intercepted. One of his charges wants him to hear her rap song.

As executive director of L.E.A.P. (Leadership, Education and Athletics in Partnership), a nonprofit organization, Fernandez guides 700 children, ranging in age from seven to 14, through a year-round, intense educational program. He's helped by 200 full- and part-time staffers. Each summer, Connecticut college students move into eight low-income and disadvantaged neighborhoods. Their mission: to provide daily academic skill-building and mentoring to local children.

Fat corporate salaries and expense accounts couldn't lure the 27-year-old Harvard undergraduate and Yale Law School graduate to the fold. "There's an appreciation given to people who make a lot of money, but here, we value the struggle," he says of L.E.A.P. Fernandez could have opted for the big bucks, "but it would not have been as intellectually challenging as motivating people." Still, the nonprofit sector is not without its rewards; Fernandez earned $32,500 last year--the most money he's ever made.

Just because Greenpeace and the Urban League don't frequent job fairs doesn't mean they're not looking. There are more than I million nonprofit, or not-for-profit, organizations in the U.S. that need capable workers to execute their missions. Despite the altruistic nature of these groups, they're not only for idealists. Corporate and government downsizing have sent many professionals scurrying to the nonprofit arena. Those entering must bring not only a sense of moral leadership but formidable technical and management skills as well. A caveat: Expect long hours, low pay and limited resources. The dearth of African Americans in upper management has also been a stumbling block. But for some, the nonprofit sector is a rewarding and creative career alternative that offers variety, autonomy and flexibility.

As the number of nonprofit groups continues to increase, so will job opportunities. If you've always dreamed of helping the homeless, teaching school in Kenya or working in a museum, there are any number of avenues of entry. They include education, environmental, health and legal services. Foundations, trade associations and many civic, social, religious, fraternal and international organizations fall into the nonprofit category. Arts and cultural centers also qualify.

HARD WORK REAPS HIGH REWARDS

For many, the nonprofit sector gives them the chance to do what they couldn't do in corporate America. With a $3 million budget, Fernandez runs the equivalent of a small-to-midsize firm. He has the authority to determine the direction of the organization. "The for-profit sector would have given me the opportunity to spend and invest other people's money, but not to implement policy," says Fernandez, who interned as a fixed-income researcher at First Boston Corp. while at Harvard.

The training for his job was arduous. Fernandez, who grew up in Poughkeepsie, N.Y., plowed a way through various grass-roots and civil rights organizations. Besides serving as a press liaison during the campaign of the first African American mayor of Cambridge, Mass., Ken Reeves, Fernandez also taught school in Zimbabwe.

Organizing community support, developing funding strategies and super-vising personnel, as well as "functioning in the political diaspora of New England politics" fill Fernandez's 12-hour workdays. In addition, he is co-creating a national electronics communications initiative for youth service providers.

In the three years since he co-founded L.E.A.P., the program has grown exponentially. The organization has received over $1 million in government grants, and the rent for their New Haven headquarters is paid by actor Paul Newman.

Those considering the plunge into the nonprofit sector should first decide on the type of organization they and why, advises Ken Roberts, vice president of human resources at the United Way Services, Cleveland, Ohio. "Be clear on what you value and decide if the organization's mission matches yours," he adds. "Burnout can happen, so you need to be employed doing what you love."

Eight years ago, the 47-year-old councilman from Highland Hills, Ohio, a suburb of Cleveland, recognized that the service industry would experience the most employment growth. In addition, he wanted to "give something back." So after 18 years in human resources management and hitting the glass ceiling in banking and manufacturing, h6 defected. For Roberts--who helped form the village of Highland Hills so that its 2,000 citizens, most of whom are seniors, could benefit from government services--the transition was worth it. "If we can earn and still practice our skills for the benefit of our community, then there's an added value," he says.

Even though the nonprofit sector is 70% female, few women make it to the top. Audrey R. Peeples' entree into the nonprofit sector came in 1973. After she returned to work from maternity leave, her position as a trust administrator at Continental Bank in Chicago (now Bank of America, Ill.) changed. After 10 years with the company, "I thought I was on ;he fast track in my career," says the mother of two. "But I was put on several rotations in different areas of the bank and was no longer happy with the job."

Having been encouraged by her employer to sit on several nonprofit boards, Peeples, now 56, jumped ship. She became associate regional director at the National Girl Scouts Association. Weary of the travel the position required, she took over the post of assistant director at Girl Scouts of Chicago four years later. It was finally an opportunity to be in charge. By 198f, she was executive director. Today, Peeples serves as executive director of the YWCA of Metropolitan Chicago, and she hasn't looked back. "I had hit the glass ceiling and could never have been a CEO in corporate America," reflects Peeples. "Back in the '70s, companies didn't take career women seriously." Now, charged with a $9 million budget and a staff of 250, she encourages those in the private sector to seek out volunteer, nonprofit opportunities through their employer.

Companies view "loaning" their executives to nonprofits as another way to help the organization as well as showcase their employees. For the employee, serving on a nonprofit committee or board not only offers exposure to challenging issues that work may not provide, but it's a resume builder as well.

THE DIVERSITY MYTH

One misconception of the nonprofit sector is that it's the benchmark of diversity, dominated by people of color. A 1993 study by the Nonprofit Academic Centers Council states that although nonprofit employment grew by 32% from 1982 to 1990, minorities held only 17% of the jobs. This number is well below the government (24.4%) and for-profit (20.6%) sectors. In addition, minorities held only 14.3% of occupations classified as "executive, administrative, and managerial" -- 2% above the private sector.

The low number of minorities in top management at "mainstream" nonprofit organizations has prompted growing concern about racial and ethnic diversity in a sector that serves so many people of color. To reverse this trend, universities are trying to recruit more minorities for their nonprofit management graduate degree programs. Nonprofits are also making attempts to improve their board and staff diversity.

There is an assumption that because the nonprofit sector is the "do good sector" where people care about people, then it is at the forefront of diversity, says Pier C. Rogers, an assistant professor at the Graduate School of Management and Urban Policy at the New School for Social Research in New York and co-author of the study. "But diversity in the nonprofit sector is still at the level of talk and hasn't gotten past tokenism."

CAREER FORECAST

The profit sector is no longer considered a dumping ground for corporate outcasts. "We don't want bankers who have failed their banks and communities setting examples for our children," says Fernandez. In fact, nonprofit organizations are competing with other industries for quality personnel.

Government budget cuts have set the stage for strategic alliances between many compatible nonprofit organizations and, as a result, the need for experienced managers is high. Accountants and lawyers will be challenged in a sector that must deal with liability and be more accountable to its donors, the IRS and the general public.

As the nation leans toward managed health care, hospitals, nursing homes and counseling centers will need health care professionals who can guide them through the transition. Those skilled in government relations will fare well as community block grants take center stage. Human resources professionals should come prepared to recruit and retain not only paid employees but volunteers as well. Fund-raising, marketing, grant writing, program development and communications are other critical areas to consider.

A key challenge for nonprofit groups is adopting a more corporate-like structure without sacrificing their uniqueness, which separates them from the government and corporate sectors.

One shaky ground is salaries.

Currently, salaries in the nonprofit sector are, on average, 1 5% lower than in the private sector. But that's changing as nonprofit groups look for innovative ways to make the sector attractive. Incentive and performance pay, bonuses, gainsharing and retirement plans--staples of the private sector--are gaining ground. Perquisites such as tuition reimbursement, flexible hours and day care provisions are also finding their way into compensation packages.

According to a 1994 Coopers Lybrand nonprofit salary survey, executive directors averaged $72,500 a year. Deputy executive directors made $56,900, and top development and financial managers averaged $46,000. The top human resources professionals earned $42,200.

Organizations based in the Northeast generally pay more than those in other regions. Because of the high cost of living there, salaries in New York rank among the highest in the nation. According to a 1994 Ernst & Young survey, top executives at New York nonprofits averaged $137,000, while chief financial officers raked in $81,300. And the top executives at foundations earned the highest base salary, $172,600.

HURDLES ALONG THE ROAD

Salary won't be your only obstacle. Long hours, limited manpower and lack of funds are other drawbacks. Whether through fees, contributions or grants, finding funds is integral to the survival of nonprofit groups.

One source of funds nonprofit groups continually grapple with is targeted giving. Sometimes when corporations channel their philanthropic dollars in a particular direction, it can conflict with a nonprofit's mission. "Because a corporation has decided that it wants to target an area doesn't mean that's where the greatest need is," says Ralph Dickerson Jr., president of the United Way of New York City, the largest United Way agency in the nation.

A corporation may offer to fund a hunger program at a woman's counseling center, but the center might actually need funds for a domestic violence project. If the center isn't equipped to undertake the new project, it may be forced to refuse those much-needed dollars. Dickerson says, "General giving ensures that other, less publicized needs can be addressed."

In paid or volunteer positions, on the board of directors or heading a committee, African Americans should look to make strides in the nonprofit arena. "We can no longer wait for somebody to fly in from Washington and give us the strategy for improving our neighborhoods," says Dickerson. "Not every individual is going to be chairman or CEO of a Fortune 500 company. There must be those with a great desire to take their business and share it in their neighborhoods and communities professionally."

RELATED ARTICLE: AVENUES TO NONPROFITS

The road to the nonprofit sector is paved with opportunity. If you're just starting out, don't expect to be appointed to a nonprofit board right away. Volunteering for your church, sorority, local soup kitchen, counseling center, hospital or union is a way to start building your career. Volunteers of America is a national organization that can help you get your foot in the nonprofit door. Call 800,462-1715.

More universities are offering graduate degrees in nonprofit management. They include:

The Graduate School of Management and Urban Policy at the New School for Social Research, New York. 212-229-5462.

The Mandel Center for Nonprofit Organizations at Case Western Reserve University, Cleveland. 216-368-2275.

The Terry Sanford Institute of Public Policy at Duke University, Durham, N.C. 919-613-7325.

The Graduate School of Public Policy at the University of California at Berkeley. 510-642-6000.

For information about schools in your area, check with your local board of education.

An excellent resource for nonprofit employment opportunities, filled with information on job hotlines, databases and directories, is the Non-Profits' Job Finder by Daniel Lauber (Planning/ Communications, River Forest, Ill., $16.95; 708-366-5200).

For information about trends in the nonprofit sector and information on more than 300 organizations, read Jobs and Careers with Nonprofit Organizations by Ronald and Caryl Krannich (Impact Publications, Manassas Park, Va., $19.95; 703-361-7300).

Check to see if your employer participates in a voluntarism program or council or works directly with a nonprofit organization.

Linkages (212-973-3800), a minority board placement program sponsored by United Way New York, recruits and trains minority corporate executives for nonprofit board appointments in their communities. A similar program is available in 29 other cities.